Crypto Currents: Bitcoin Depot files bankruptcy during busy earnings week

As bitcoin, ethereum and other cryptocurrencies see major legal, institutional, and technological developments, the financial landscape continues to adapt. Stay up on the crypto news that matters with the “Crypto Currents” weekly from The Fly. Also, join us for your essential daily recap, every day at 2 PM ET on FlyCast radio.

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BITCOIN DEPOT FILES FOR BANKRUPTCY: Bitcoin Depot (BTM) announced Monday that it has initiated a voluntary Chapter 11 process in the U.S. Bankruptcy Court for the Southern District of Texas to effect an orderly wind-down of the company’s operations and facilitate a sale of its assets. The company’s network of BTMs has been taken offline. Bitcoin Depot has filed a number of customary “first day” motions with the court. The Ccmpany’s Canadian entities are included in the U.S. Court-supervised process and it expects to commence restructuring proceedings in Canada in due course. The Company’s other non-U.S. entities will be winding down under applicable foreign law.

“Over time, the Company has continued to strengthen its protocols and procedures to combat fraud and protect the customers who use its BTMs, including enhanced identity verification, customer fraud warnings, and its more recent adoption of lower transaction limits for its customers,” said Alex Holmes, CEO. “Nevertheless, the regulatory environment for BTM operators has shifted significantly: states have imposed increasingly stringent compliance obligations, including new transaction limits, and in some jurisdictions, outright restrictions or bans on BTM operations; and operators have faced increasing litigation and regulatory enforcement. These developments have materially affected Bitcoin Depot’s business and financial position. Under these circumstances, the company’s current business model is unsustainable.”

H.C. Wainwright downgraded Bitcoin Depot to Neutral from Buy without a price target following the company’s filing and wind-down of operations. The decision was driven by a “materially worsening regulatory backdrop” for bitcoin ATM operators in the U.S., the analyst said.

WARREN CHALLENGES OCC ON TRUST CHARTERS: U.S. Senator Elizabeth Warren announced Tuesday that she sent a letter to Comptroller of the Currency, Jonathan Gould, raising concerns over his decision to “improperly” grant national trust charters to companies that do not qualify under the National Bank Act. In the letter, Warren argues the agency’s actions undermine protections designed to shield Americans from financial risk. Warren concluded the letter requesting the full charter application for all nine approved companies, legal analyses supporting the OCC’s decisions, and all communications between OCC officials and the White House or Trump family members regarding the charter approvals by June 1.

“Since December 2025, you have approved at least nine national trust charters for crypto companies that intend to engage in activities that appear to go far beyond the narrow set of activities permitted by law. These companies are effectively crypto banks that want to evade the fundamental safeguards and obligations that come with being a bank,” wrote Warren. “Your decision to facilitate this regulatory arbitrage not only conflicts with federal law, it also poses serious risks to consumers, the safety and soundness of the banking system, and the separation of banking and commerce. Despite the clear legal distinction between national trust companies and full-service national banks, the OCC has recently approved at least nine national trust company charters–with several more applications pending–for companies that look like crypto banks, not trust companies. Many of the business plans do not include specific fiduciary trust activities and none imply that bona fide fiduciary trust activities would be the primary business of the trust company. The business plans include language that suggests the companies intend to engage in non-fiduciary custodial activities, facilitating payments and lending activities, and conducting stablecoin activities closely related to deposit-taking.”

GALAXY RECEIVES BITLICENSE FROM NYDFS: Galaxy Digital (GLXY) announced Monday that the New York State Department of Financial Services has granted GalaxyOne Prime NY, the Galaxy entity that will serve New York clients, a BitLicense and Money Transmission License, authorizing the company to offer regulated digital asset services to institutions across the state. New York joins Galaxy’s regulatory footprint of more than 50 global licenses. Institutions in the state, including registered investment advisors, hedge funds, and family offices, can now access Galaxy’s full suite of trading and custody services, backed by a digital asset business managing $9B in client assets.

“New York is home to the deepest pool of institutional capital in the country, and digital assets are no longer sitting at the edge of those allocations,” said Mike Novogratz, CEO. “Galaxy was built to meet that demand, and now we can better serve New York’s institutions directly.”

CRYPTO EARNINGS: On Monday, Greenidge Generation (GREE) reported first quarter loss per share of (29c) on a revenue of $20.8M, which compared to loss per share of (40c) on a revenue of $19.2M for the same period last year. The company held 98 bitcoin valued at $6.7M as of March 31 and produced 28 bitcoin in the quarter.

Greenidge CEO Jordan Kovler said, “During the first quarter, we made important progress in executing our strategy to reposition the Company around power infrastructure and AI/HPC datacenter development. The receipt of the proposed NYSEG Interconnection Agreement for 60MW of non-curtailable power at our Dresden facility is a meaningful milestone, and our 250MW load study request in Mississippi further expands the long-term opportunity across our portfolio. Together, these developments reflect the value of our owned power assets and our ability to support the growing demand for reliable capacity.”

Soluna Holdings (SLNH) also reported Q1 earnings Monday with a loss per share of (24c) on a revenue of $9.4M, which compared to loss per share of ($1.21) on a revenue of $5.9M last year.

“Our fourth consecutive quarter of sequential revenue growth and 58% year-over-year increase reflects the operating leverage we’re building across the portfolio. With Kati 1 now contributing, Dorothy 1A back at full capacity, and Dorothy 2 fully ramped, we’re entering the next phase of Soluna’s growth from a position of operational strength,” said John Belizaire, CEO.

Additionally on Wednesday, Soluna announced the acquisition of the remaining equity interest in Project Dorothy 1B from Navitas Global, for approximately $8.8M. The transaction gave Soluna complete equity ownership of D1B, located in Silverton, Texas, and marks the next step in the company’s consolidation of equity ownership across the Dorothy campus, following the $53M acquisition of the Briscoe Wind Farm and the $16.5M acquisition of Project Dorothy 1A earlier this year.

On Tuesday, Canaan (CAN) reported unaudited Q1 loss per ADS of (13c) on a revenue of $62.7M, which compared to (27c) and $82.8M, respectively, for the same period last year. The company also guided to Q2 revenue of $35M-$45M.

Nangeng Zhang, CEO, commented, “Q1 2026 was a quarter of disciplined execution and strategic positioning for Canaan. Despite bitcoin price volatility, compressed hashprice conditions, elevated energy costs, and weather-related disruptions in North America, we delivered total revenue of $62.7M, which was in line with our guidance, completed the final deliveries under a major U.S. customer order, and continued to advance our global mining deployment. Our installed computing power across ten joint-mining projects reached approximately 11 EH/s, up 10.7% sequentially, and we produced 257 bitcoins during the quarter. At the same time, our cryptocurrency treasury reached a record level of 1,807.60 BTC and 3,951.53 ETH as of March 31, 2026.”

Canaan also announced that it has been selected to support a district heating network in the Nordic region. The heating solution, developed in partnership with a Nordic heating provider, utilizes Canaan’s Avalon A1566HA series hydro-cooled units with a combined capacity of approximately 8 MW.

Rosenblatt lowered the firm’s price target on Canaan to $1.30 from $2.25 and kept a Buy rating on the shares post the Q1 report. The company is “persevering” through declining bitcoin prices and increasing energy costs, the analyst said. The firm added Canaan is making strategic moves to become a more vertically integrated bitcoin miner while diversifying into home markets and cutting costs.

On Tuesday, Antalpha (ANTA) reported Q1 earnings per share of 10c on a revenue of $20.7M, which compared to EPS of 7c on a revenue of $13.6M last year. The company also guided to Q2 revenue of $11M-$13M.

“Antalpha continued to demonstrate the resilience and scalability of its platform in the first quarter, with sustained revenue growth and profitability through a more challenging market environment,” said Paul Liang, CFO. “What stood out in the first quarter of 2026 was how the two distinct sides of Antalpha’s platform worked together harmoniously. Our tokenized gold upside captured the constructive move in gold prices, and our lending portfolio, conservatively collateralized and still with no loss of principal to date, continued to reflect the risk discipline that has long defined our business.”

B. Riley lowered the firm’s price target on Antalpha to $9.50 from $10 and kept a Buy rating on the shares. Antalpha’s earnings power is “cyclically depressed” at this current time, the analyst said.

STRATEGY BUYS MORE BITCOIN: In a Monday regulatory filing, Strategy (MSTR) announced an update on its bitcoin holdings. The company reported acquiring 24,869 bitcoin for approximately $2.01B at an average purchase price of $80,985 between May 11 and May 17. As of May 17, Strategy holds 843,738 bitcoin acquired for an aggregate purchase price of approximately $63.87B.

TD Cowen raised the firm’s price target on Strategy to $400 from $395 and kept a Buy rating on the shares. The firm said Strategy’s treasury operations continue to exceed expectations, with faster-than-anticipated bitcoin accumulation and accretive balance sheet actions driving higher BTC per share and improved financial flexibility.

OTHER CRYPTO NEWS:

• Strive (ASST) purchases 381 BTC, price target raised to $30 from $28 at TD Cowen
• BitGo (BTGO) introduces modular bank-ready operating model, supports Lightning Network through Crypto-as-a-Service solution
• Bit Digital (BTBT) price target lowered to $4 from $5 at B. Riley
• Morgan Stanley lowers Mara Holdings (MARA) price target to $7 from $8.50, raises Cipher Mining (CIFR) price target to $42.50 from $40.50, TeraWulf (WULF) price target to $42 from $41.50
• Exodus Movement (EXOD) reports holdings of 629 BTC, 1,872 ETH, 19,234 SOL as of April 30
• Circle Internet (CRCL) upgraded to Buy from Neutral at H.C. Wainwright, price target raised to $106 from $80 at Morgan Stanley
• Hyperscale Data (GPUS) reports 692 BTC holdings
• Coinbase (COIN) says perpetual-style equity index futures coming June 8
• Bitmine Immersion (BMNR) reports ETH holdings 5.28M tokens, total holdings $12.6B
• Eightco Holdings (ORBS) reports total holdings $337M, over 11K ETH
• Riot Platforms (RIOT) price target raised to $28.50 from $24 at Needham
• Hut 8 (HUT) commits $16M to expand water infrastructure in West Feliciana Parish
• IREN (IREN) acquires Awaken to support global brand growth
• Bitdeer (BTDR) price target raised to $17 from $11.50 at Keefe Bruyette
• DeFi Technologies (DEFT) price target lowered to $2 from $3 at Benchmark, to 90c from $1 at B. Riley
• Hive Digital’s (HIVE) BUZZ announces 320 MW AI infrastructure in Toronto area, price target raised to $4.60 from $3 at Cantor Fitzgerald
• DDC Enterprise (DDC) acquires 200 BTC, lifts total holdings to 2,583 BTC
• SUI Group (SUIG) reports treasury holdings of 108.8M SUI as of May 19
• Tether International acquires SoftBank’s (SFTBY) ownership(XXI)

CRYPTO STOCK PLAYS: Publicly traded companies in the space include Bit Digital, Coinbase, Core Scientific (CORZ), Greenidge Generation, Mara Holdings, Strategy, Riot Platforms and TeraWulf.

PRICE ACTION: As of time of writing, bitcoin dropped roughly 2% this week to $77,209 in U.S. dollars, according to CoinDesk.